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Help the Economy- Own Something!

  Various economists have predicted that the “Cash for Clunkers” fad initiated by the Obama administration will cause more harm than good in the long term. The reason it will, they are speculating, is because it is the government installing billions of dollars that they do not have into a program that allows citizens to purchase new vehicles at extremely high trade in rates and owe money while doing so.

  It is best explained like this… You have an old vehicle that is a gas guzzler. Obviously the government wants that boat off the road, because you are destroying the atmosphere everytime you crank it over. So, in order to get you to abide by their wishes, they are willing to pay auto dealers money to ensure that you get “great deal” on your trade in earth killer. In return, that helps you get a “great deal” on purchasing a new car- which you will make payments on for at least five years. This will help the business get the money that they need to stay in business, the government to get your polluting rear-end out of your “clunker”, and you to get a vehicle that you enjoy. Sounds great, right?

  Well. maybe in that light, it does. When one looks at the facts, however, the problems with the deal may not look so appealing. You, as a consumer, now have a mortgage payment to keep up with, your usual electricity bills, and even though the government now states you will save more money in gas than what your car payment is, (which really makes me wonder if the politicians are utilizing fuel properly themselves), you are left with a car payment that you did not have before, and with that new car comes new insurance rates. All this in an ever growing jobless rate. To really provide encouragement, pay no attention to the fact that most of the utility companies in the country are stating that utilities will rise.

  The best way to help the economy is not to buy something big off of borrowed money, but to own something. We, as Americans, have become indebted with our vehicles, homes, furniture, clothing, that we really do not own anything. Foreclosures, bankruptcies, and ruined lives are all throughout the country, and the government’s way of dealing with those issues is to bring us into more debt, both personally, and as a nation.

  Keep your clunker. Utilize the payment that you are saving to pay off your mortgage. Then you can save to buy a less expensive vehicle that does not kill off your neighbors.

  We all make stupid decisions when it comes to finances. I know that I have made my fair share, and probably yours as well. The point is, if we continue to purchase big things on little income, the expense will be more than we thought. You want to help the economy- own something.

August 3, 2009 - Posted by | Opinion

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